Growth Opportunities and Funding Sources for Marshfield Bakery Limited

Table of Contents
Introduction .....................................................................................................................................1
TASK 1............................................................................................................................................2
P1. Growth opportunities for SME like Marshfield Bakery Limited.....................................2
SWOT Analysis...............................................................................................................................2
PESTLE Analysis............................................................................................................................3
Porter's Five Forces Strategies.........................................................................................................5
VRIO Framework ...........................................................................................................................6
Ansoff's Matrix................................................................................................................................7
TASK 2............................................................................................................................................9
P2. Sources of funding for Marshfield Bakery ......................................................................9
TASK 3 .........................................................................................................................................10
P3. Business plan including financial and what are the strategic objectives to scale up a
business.................................................................................................................................10
TASK 4..........................................................................................................................................11
P4. Evaluation of succession or exit policy for small enterprises........................................11
Conclusion:....................................................................................................................................13
References:.....................................................................................................................................13
Introduction

Small sized businesses are one of most growing and high percentage profits producing
options today. These enterprises need to make various analysis and plans in order to create a
competitive edge for themselves in the market space. For this respective report, Marshfield
Bakery Limited is the chosen business which is situated in United Kingdom which started
functioning in year 2005 providing bakery products like bread, pastry, biscuits etc. and in today's
date they have shown drastic growth with now estimated net worth of over 5 billion
pounds(Crispi, Miranda and Gratacós, 2018). A major contribution to their growth is due to
various strategies like PESTLE, SWOT, VRIO and Porter’s five generic which are very
important for a SME. These strategies are supported by the Ansoff's matrix. When considering a
small scaled business another vital aspect is its funding. From where does they collect their funds
along with the benefits and drawbacks of each source are equally important. Once a business is
ready with its strategies next stage is forming an suitable and effective business model with
complete financial information and clear objectives for the company. Also these small or
medium sized enterprise should always for the case of emergency have an exit policy and for
best case scenarios always have a planned growth strategy too.
TASK 1
P1. Growth opportunities for SME like Marshfield Bakery Limited
For a small scaled enterprise there comes various opportunities in which they can growth
their business and hence be able to earn more for it and market share for themselves. In order to
do so implementation of various plans and procedures are important. Few of such strategies and
analysis for Marshfield bakery are mentioned below:
SWOT Analysis

It is the framework which analyse company's competitive position in the market.
SWOT stands for strengths, weaknesses, opportunities and threats. SWOT analysis is done
for a company to evaluate it's competitive advantage which includes it's benefits and main
performing aspects(Amri and Giyarsih, 2022). Other aspects for company such as
liabilities, drawbacks or sectors where it needs to focus and improve are also cover with the
help of this analysis. SWOT helps in recognising opportunities in the market space, along
with the precautions in business that might save the company from the loss that it might
have to face due to lack of information. SWOT analysis for Marshfield Bakery limited has
been mentioned in the table below:
Strength Weakness
 Large variety of handmade bakery
products which are very unique.
 Support of impressive employees
which has helped in developing good
customer relations.
 Marshfield Bakery does not have their
own distribution chain and needs to
depend on SWMAS for it.
 They do not have many bakeries, hence
Marshfield Bakery has to transport their
products to other places.
Opportunities Threats
 Marshfield Bakery Limited with such
strong customers loyalty can introduce
new products like ice creams etc.
 Collaboration with new emerging hotel
chains near them.
 Competition for already established
bakeries like Costa, Gregg etc.
 Due to brexit employees are seeking
more salaries.
PESTLE Analysis

PESTLE is an acronym for political, economical, social, technological, legal and
environmental. It is used by various companies to analyse the external conditions for the
company which is affecting their functionality and its growth. PESTLE provides a company's
complete internal and macro analysis(Cai and et al, 2018). In consideration Marshfield bakery,
factors of external environment are given below:
 Political: External political situations like corporation taxes, government policies, fiscal
policy's initiation, upcoming government projects are known as political factors which
affects a business. United Kingdoms is known for keeping their business agreement with
their international partners which lead to making policies more suitable for them and a
little harsh on local small sized bakeries like Marshfield Bakery.
 Economical: Financial factors like change in GDP, taxes and tariff, prices of raw
products, production charges etc all falls under the category of economical factor.
Marshfield Bakery has always maintained their prices sightly higher and now due to
brexit pound is increasing in value and such high prices bakery goods would be difficult
to sell.
 Social: Factors affecting company like local languages, customer's beliefs, ethics of
target market's customers are known as social factors. United Kingdoms civilians are
growing more and more conscious regarding healthy eating and staying fit. And as
Marshfield Bakery sells sugar based products which is not recommended for staying fit
this can be a topic of concern for them if the need to grow to full extent.
 Technological: All the impacts of technology has on the business are generalised in this
category. Elements like artificial intelligence, websites, machine learning etc are
examples of technology advancements. If Marshfield Bakery wants to grow and expand
in their business they needs to evolve technologically.
 Legal: Law and regulations of the place where the company aims to conducts its business
is the chief vital aspects of this element(Wang and et al, 2019). In United Kingdoms the
new laws are been introduced regarding limiting sugar quantity in foods hence these law
might most probably impact the recipe of few of the Marshfield Bakery's chief products.
 Environmental: All those elements in the business are affect and are affected in the
environment are part of this category. Marshfield Bakery conducts its business in a cold